Earnings Review
APL Apollo Tubes Q2 net profit surges to record high on strong volumes
This story was originally published at 15:50 IST on 29 October 2025
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--APL Apollo Jul-Sept consol net profit INR 3.02 bln
--Analysts saw APL Apollo Jul-Sept consol net profit at INR 2.67 bln
--APL Apollo Jul-Sept consol revenue INR 52.06 bln
--Analysts saw APL Apollo Jul-Sept consol revenue at INR 54.82 bln
--APL Apollo Jul-Sept consol net profit INR 3.02 bln vs INR 538.1 mln yr ago
--APL Apollo Jul-Sept consol revenue INR 52.06 bln vs INR 47.74 bln year ago
--APL Apollo Apr-Sept consol net profit INR 5.39 bln vs INR 2.47 bln yr ago
--APL Apollo Apr-Sept consol revenue INR 103.76 bln vs INR 97.48 bln year ago
--APL Apollo Jul-Sept consol EBITDA INR 4.47 bln vs INR 1.38 bln year ago
--APL Apollo Jul-Sept consol EBITDA/tn INR 5,228 vs INR 1,821 year ago
--APL Apollo Jul-Sept consol sales volume 855,000 tn vs 758,000 tn year ago
--APL Apollo Jul-Sept consol sales volume up 12.8% on year
--APL Apollo expects total capacity to rise to 6.8 mln tn by FY28
--APL Apollo plans to spend INR 15 bln on capex in 3 years
--APL Apollo Jul-Sept value added sales mix 57% vs 55% year ago
--APL Apollo: Expect Oct-Mar to be better than Apr-Sept
By Shreya Shetty
MUMBAI – Steel pipes and tubes manufacturer APL Apollo Tubes Ltd. posted its highest ever profit for the September quarter, which grew nearly six-fold on year due to record growth in volumes. This profit growth was the highest in 17 quarters. The company's net profit rose over 460% on year to INR 3.02 billion for the Jul-Sept quarter, beating the Street's expectations of INR 2.67 billion.
The company's revenue growth was largely driven by sales volume, which grew 13% on year to a record 855,037 tonnes in the September quarter.
However, the company's total revenue missed analysts' estimates. Total revenue from operations for the quarter grew over 9% on year to INR 52.06 billion, but was lower than market expectations of INR 54.82 billion. The company's revenue rose just 1% on quarter while its consolidated net profit rose over 27% from the trailing quarter.
In Apr-Sept, the company's consolidated net profit rose over 118% on year to INR 5.39 billion. The pipe and tube-maker's top line for the period rose over 6% on year to INR 103.76 billion. More
The company's earnings before interest, tax, depreciation, and amortisation for Jul-Sept rose nearly 224% on year to INR 4.47 billion, higher than INR 4.20 billion estimated by the Street. The company's EBITDA per tonne rose 187% from the previous year to INR 5,228. In the September quarter last year, its EBITDA per tonne was INR 1,821. Sequentially, the company's EBITDA rose 20%, while its EBITDA per tonne rose 12%.
The company's overall expenditure during the quarter rose nearly 3% on year to INR 48.45 billion. Cost of materials consumed, which accounts for nearly 90% of total expenditure, was up by over 6% on year at INR 43.54 billion.
The steel pipemaker's value-added sales mix for the September quarter was 57%, compared to 55% a year ago. In the product category, 'Apollo Z' range, rust-proof application sales grew 28.5% to 192,743 tonnes and sales in coated application rose nearly 21% to 61,911 tonnes. However, the contribution from the high margin range fell to 30% from 32% from the previous quarter.
The company said it will incur capital expenditure of INR 15 billion over the next three years to expand capacity to 6.8 million tonnes from 4.5 million tonnes.
"Despite extended monsoons, a subdued macroeconomic environment, global trade uncertainty and ongoing slowdown in government infrastructure spending, APL Apollo has delivered exceptional resilience and execution strength," Sanjay Gupta, chairman, APL Apollo Tubes, said in a release. The company expects better performance in Oct-Mar as compared to Apr-Sept, it said in the release.
On the National Stock Exchange, shares of the company closed 1.6% higher at INR 1,804.80. The company announced its September quarter earnings during market hours. End
Edited by Ashish Shirke
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